FCA - UAE,Federal Customs Authority -United Arab Emirates

FCA - UAE,Federal Customs Authority -United Arab Emirates

55 Firms Avail the Benefits of “Authorized Economic Operator”
1/5/2020

Authorized firms in United Arab Emirates' Authorized Economic Operator (AEO) program increased to 55 firms by the end of 2019, it is anticipated that further 15 firms will join the program to raise the number of authorized firms to 70 firms in the end of January 2019, according to the Federal Customs Authority.

AEO aims at facilitating trade, simplifying customs procedure for compliant companies with customs and security compliance measures within supply chain based on secure framework standards, simplifying supply chain in world trade (SAIF) issued by the WCO. The program provides package of benefits and facilities to compliant firms, which contributes to reducing clearance time, advance procedure completion, reduction of financial costs and time saving.

H.E Ali Saeed Matar Alneyadi, Commissioner of Customs - Chairman of FCA, said Emirates is keen to openness to world economies, develop partnership and cooperation with world countries and implement best international practices stemming from the pillars of Emirates vision 2021 and national economy strategic direction. He pointed out that the AEO is one of the most significant instruments to bolster national economy's openness to global markets through trade facilitation and further contributes to promoting state competitiveness score in doing business and entrepreneurship index, logistic support and other global competitiveness indices.

H.E added that AEO, as a Federal program, has been implemented across Emirates and supervised by the Authority, links the state to world countries in trade and customs. It also enables member firms facilitate their goods penetration to global markets particularly, the markets of countries concluding mutual recognition agreements as South Korea, KSA, China, to name a few.

H.E the Commissioner of Customs - Chairman of the Authority highlighted that authorizing the firms interested in joining the program and vesting its benefits is made against a set of standards adopted by the Authority and local customs departments the most prominent of which; implementing security and customs measures, existence of clear record demonstrating customs compliance that proves firm's observance of Emirates laws, trade and security regulations in addition to acceptable and auditable management as well as accounting systems and financial management including customs control, transport records, evidence of capability and creditworthiness, and implementing security measures in relation to global supply chain.

AEO has been officially launched in the United Arab Emirates in 2016. National committee has been formed to assume program implementation and supervision under the presidency of the Federal Customs Authority and membership of local customs departments all over the country as well as authorizing program's exhaustive policy and instilling the program on federal and local levels.

The program provides many benefits in terms of procedures, security, control, administration and finance for supply chain firms including the completion of clearance procedure prior actual arrival of shipment to ports or airports, incorporating participants in mutual recognition agreements and conferring them differential custom treatment. The program encompasses various parties in supply chain as importers, exporters, manufacturers, clearance agents, carriers and their brokers, mediators, ports and airports. 

H.E emphasized the keenness of the Authority and local customs departments to maximize authorized firms' benefit from the program locally and internationally through exchanging advantages and facilitates with the most prominent trade partners worldwide by way of concluding mutual recognition agreements within the framework of AEO.

Highlighting the prospect of program initiatives and plans, H.E Commissioner of Customs said AEO national committee chaired by the Authority discusses proposed program's related initiatives and development plans for its development and augmenting such incentives, facilities and advantages conferred upon the firms based on best international practices.

H.E recalled that 2020 is going to witness implementing a set of initiatives that will contribute to develop the program including, inter alia, Emirates hosting fifth world AEO forum in Dubai next March in coordination with WCO, in addition to implementing advanced marketing plan among targeted firms, chambers of commerce and industry, economic departments across the country with a view of promoting awareness of the program and its advantages provided to targeted categories, measuring how far authorized firms avail the program through unified questionnaire to measure customers satisfaction and to consider how to advance the number of authorized firms in Emirates list of economic operators with lower cost.​


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